The Lagos State Governor, Mr. Babajide Sanwo-Olu, had said financial fraud was a risk to national development that must be detected timely before it escalates.
Sanwo-Olu said he underscored that financial fraud was changing rapidly, cybercrime, insider threats, digital payment vulnerabilities, and regulatory loopholes had made fraud more sophisticated than ever.
The governor stated this at the Association of Chief Audit Executives of Banks in Nigeria (ACAEBIN), 2024 annual general meeting and fraud conference, held in Lagos recently, themed: ‘Fraud and Governance: Strengthening Institutional Frameworks in Nigeria.’
Sanwo-Olu emphasised that a strong, fraud-resistant financial system was essential to driving economic growth, attracting investment, and creating jobs.
According to him, “As we all know, financial fraud is not just a banking problem – it is an economic threat, a governance challenge, and a risk to national development.
“Every time fraud occurs, businesses suffer, investors lose confidence, and public trust in the financial system is weakened.”
Challenging the bank’s auditors in the country, Sanwo-Olu, said they must ensure that their gatekeeping roles were not compromised in order to reinforce confidence in the system.
According to him, “As Chief Audit Executives, you are the gatekeepers of financial integrity. Your work ensures that fraudulent activities are detected and prevented before they escalate. Your vigilance protects not just your institutions, but the entire financial system.
“Financial fraud is changing rapidly, cybercrime, insider threats, digital payment vulnerabilities, and regulatory loopholes have made fraud more sophisticated than ever. Criminals are getting smarter, but we must be smarter and faster in our response.
“This conference is a call to action. A call to reinforce trust in our financial institutions, to uphold the integrity of our systems, and to ensure that governance remains the foundation of everything we do.”
Chairperson of ACAEBIN, Aina Amah, said this year’s theme emphasised the urgent need to enhance governance structures, strengthen risk management practices, and fortify the mechanisms designed to protect the financial system.
“The evolving nature of fraud, fuelled by technological advancements and complex financial transactions, demands that we remain vigilant, innovative, and collaborative in our approach to combating financial malpractices.“This gathering, a hallmark of our collective commitment to integrity, transparency, and corporate governance, comes at a critical time when financial institutions and regulatory bodies must work hand in hand to fortify our institutional frameworks against fraud and financial crimes,” she said.
